Teens pocket €13 a week from parents, says survey

Teenagers get an average of €13 pocket money a week, with nearly a fifth getting more from their parents than they did a year ago.

Three quarters of those who get pocket money save it, with an average of a third of the cash being put away.

Of those saving, nearly half hope to buy a phone, computer, or another gadget; 28% are saving for a holiday; 21% for music or movie downloads; and 17% for college.

The Irish League of Credit Unions (ILCU) Teens and Money survey also found over 80% of teenagers have at least one savings account, with half saving at the credit union, followed by the bank and post office.

The study found most parents believe Ireland is still in recession and that secondary schools should do more to help teenagers manage their finances.

Nearly a quarter of parents who said they can not afford the full cost of their teen’s third-level education, said their child will have to get a part-time job to pay the balance.

The survey of 1,000 parents found the vast majority are still dealing with the impacts of austerity, with 73% saying the country is not yet out of recession.

They said there has never been a greater need for teenagers to be financially literate to help them manage their money sensibly.

Parents said they have the greatest influence on how their children approach money. However, most felt that not enough is being done at secondary school level to support them.

They suggested that the schools devise special courses on topics such as:

- Savings and investments;

- The reality of how much things cost;

- How to manage a budget, running a household, and breakdown of household bills;

- The realities of debt and borrowing;

- Understanding the banking system, financial jargon, interest rates, understanding bank statements, and business documents.

Ed Farrell of the ILCU said the survey shows that parents are looking for better support in educating their children on financial matters.

“Mums are doing the bulk of the work in this regard,” Mr Farrell added.

Following its youth conference in Tullamore, Co Offaly, at the weekend, the ILCU has launched ‘Clued-In’, a secondary school resource to educate teens about money.